Solved

Table 3-3 -Refer to Table 3-3

Question 102

Multiple Choice

Table 3-3
 Hours needed to make one unit of:  Amount produced in 2400 hours:  Cars  Aeroplanes  Cars  Aeroplanes  US 401606015 Europe 501504816\begin{array}{|l|c|c|c|c|}\hline&\text { Hours needed to make one unit of: }&&\text { Amount produced in } 2400 \text { hours: }\\\hline & \text { Cars } & \text { Aeroplanes } & \text { Cars } & \text { Aeroplanes } \\\hline \text { US } & 40 & 160 & 60 & 15 \\\hline \text { Europe } & 50 & 150 & 48 & 16 \\\hline\end{array}
-Refer to Table 3-3.If Europe and the US trade according to the principle of comparative advantage:


A) all individuals in both countries will gain
B) car producers in Europe and aeroplane producers in the US will gain
C) some individuals within each society will be made worse off
D) one country will be better off and the other country will be worse off

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents